Jump to content

COE classification by OMV ?

COE classification by OMV ?

Sign in to follow this  
SYF77

How do you feel when you see VW rims on Skoda?  

22 members have voted

  1. 1.

    • Indifferent ...
      9
    • Owner of the Skoda couldn't find Skoda rims
      5
    • Owner tries to disguise the Skoda as a VW
      8

monthly_11_2012/blogentry-60386-1353661813.jpg

blogentry-31583-1353844683_thumb.jpg

In recent years, the downsizing of engines by premium brands has led to luxury cars competing for a slice of the Cat A COE, which is of 1600CC capacity and below. For instance, a 1.6-litre Volvo S80 is something unthinkable 10 years ago but it is available today.

 

blogentry-31583-1353844706_thumb.jpg

Before that, Cat A COE used to be dominated by work horses such as the Toyota Corolla and Honda Civic. With the tightening of COE supply, prices are sure to head north.

 

As premium brands would normally command higher profit margin, it is expected of them to out-bid a Korean or Japanese brand in securing a COE. But is there a fairer way to allocate the limited resources?

 

Perhaps, COE could be categorized by the car's Open Market Value (OMV) instead of capacity. OMV is assessed by the Singapore Customs, based on the price actually paid or payable for the goods when sold for export to the country of importation. This price includes purchase price, freight, insurance and all other charges incidental to the sale and delivery of the car to Singapore.

blogentry-31583-1353844211_thumb.jpg

To ensure that a middle income Singaporean is not out-priced in the COE hunt, Cat A COE could be classified as cars of OMV below S$20,000. Cars with OMV of between S$20,001 to S$35,000 could be classified under Cat B. In this scenario, a Corolla buyer would not be going after the same piece of COE as a wealthy Volvo S60 T4 buyer.

 

Rather, this would put the 1.6-litre S60 and the 2.0-litre Camry in the same category, which I believe should make more sense. Cat E COE could be classified as cars with OMV of S$35,001 and above.

 

Car sales dominated by luxury brands are unheard of in other countries. It is time to put things back to normal.

Sign in to follow this  


18 Comments


Recommended Comments

Sounds like a good idea. Need to work out some problems like fluctuating exchange rates. Also, a borderline model can be 2 different category due to OMV difference.

Share this comment


Link to comment

LOL...why not categorized the COE to Lower, Middle & High income group? Set a quota for each group. Outcome will be of no significant change from now. Why? Coz it's not the car buyer doing the bidding.

Share this comment


Link to comment

If this is implemented, it should be the same for road tax too. 1.4 turbo with more power paying less than a 2L na.

Share this comment


Link to comment

Are you desperate to get a new car? Hence all your posts about changing the COE system?

Once look at the title and I knew it was you. Such a suggestion is pointless. A fairer system? Are you saying that a car is a necessity? It clearly isn't and if one cannot afford it, there are plenty of other alternatives like getting a used car. Must everyone get a new car? I don't think so. If one cannot afford it, settle for a cheaper alternative or don't buy one at all. It's not that cars are expensive, it's that one simply cannot afford it. How on earth do such pointless articles get posted? Perhaps discretion should be considered before allowing such ludicrous articles to be posted.

Share this comment


Link to comment

Oh no, not this crap again. discuss till cow come home already and yet still write a blog. Please lah, there are always 2nd hand cars around.

Share this comment


Link to comment

Good idea. Family with kids should have a fairer shot at basic private transport without the interference of the rich badge whores.

This is simplest idea to implement. Those who suggest ballot or by income group are not thinking deep enough.

Share this comment


Link to comment

Keep hammering away at your MP until LTA start thinking about this. Too many closed-minded folks here who are dismissive of solutions which tackle the root of price distortions.

You folks say turn to used cars, but used cars set their prices according to new cars in Singapore. The used car dealers try to con uninformed buyers too often.

Share this comment


Link to comment

It does not make sense. The car OMV varies with the transmission, facelift, features but this month they can belong to COE CAT A OMV below 20k while next month they can jump to COE CAT B, OMV higher than 20k? Then in this case no body would want buy the model right? Might as well boycott the particular model and buy the one with higher OMV.

 

If want to tag COE it should be tag to something that is "unchangeable". Something like Engine BHP, CC or Emission.

Share this comment


Link to comment

An example of the different OMV for same model

$33,574 - Oct 2008 RX8 Auto 6 speed

$26,372 - Apr 2008 RX8 Auto 6 speed.

 

Difference is around 8k and this can "disrupt" the OMV tagging

Share this comment


Link to comment

i'd suggest that coe to be bid in the figure of percentage of the final sale price with the dealer. so, if the final bidding ends at 20% (for example), then one would have to pay the garmen 20% of the final sale price of the purchased vehicle. dealers has got to be transparent of the sales figure and submit pricing to LTA prior to bidding.

Share this comment


Link to comment

decentralise the city centre to the heartlands will minimise the need to travel. so less people will need cars

Share this comment


Link to comment

Car sales dominated by luxury brands are unheard of in other countries--> COE is also unheard of in anywhere in this WORLD.

Share this comment


Link to comment

Well there's a reason why you should do your homework before committing to a sale.

If one is stupid enough to get conned just like those tourists who go to lucky plaza and sim lim, then too bad. People who are desperate to get new cars and blame the current system are merely wannabes who want to afford things that the richer people in society can afford. If you can't afford it, you really can't, so stop whining and work harder or get a higher paying job. Simple as that. Unfortunately, there are lots of these unrealistic people just like the person who wrote this uninformed article.

Share this comment


Link to comment

One suggestion is to ban dealers from bidding. All to bid for themselves only. You bid COE your name. Pay cash.

Share this comment


Link to comment

fair means dont say 1 thing & do another, u say everyone can own a car in 2008 then in 2010 u turn the frying fish over say must restrict car count

Share this comment


Link to comment

Another bad idea from this blogger. Car is a luxury item not a necessity.

If u can't afford to buy one, there's plenty of other options around.

Share this comment


Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • Featured Stories

    Owner unwilling to pay after workshop rendered service

    A post about a customer who refused to pay after a battery replacement workshop rendered its services has gone viral online. Spotted on its own facebook page, FastFix Car Battery Replacement Service explained how the whole issue came about.  It wrote in its post that its client, Mr C, reached out to them saying that he needed help as his car could not start. After listening to the symptoms the car showed( car still cranks and aircon is not as strong as before), the workshop concluded that it needed a new battery. However, upon reaching Mr C, whose car was parked in the CBD and hence the need to pay for ERP charges, the guys from FastFix realised that it wasn't the battery that needed replacing.

    Concluding that there was nothing the guys from FastFix could do to help, Mr C was then asked to pay for the labour fee that had been pointed out before in their Whatsapp conversation. Unfortunately, Mr C disagreed and refused to pay the $50 that they had agreed on as nothing has been done to his Kia.  There was not much FastFix could do which probably prompted them to 'share their story' of the client on their facebook page.     Here are some of the notable comment in the post.

    Faiming_low

    Faiming_low

    MCF Hangout with Follow Me Japan

    Over 60 MyCarForum (MCF) members, together with their partners and families, gathered at Singapore Recreation Club on Saturday afternoon to attend the MCF Hangout with Follow Me Japan. The event, a unique collaboration between sgCarMart and FMJ, offered MCF members insights into the many interesting sights and attractions in Ishikawa, Japan.
      During the event, sgCarMart Senior Automotive Journalist Desmond Chan spoke about some of his personal experiences driving overseas, as well as some key tips on how to best plan and enjoy a road trip. He also briefly touched on some of the unique road conditions and peculiarities when it comes to driving in Japan.
      Additionally, Mr. Yuta Abe from FMJ also presented on the many unique attractions that Ishikawa offers. Ishikawa Prefecture, located 500km away from Tokyo, is bordered on three sides by the Sea of Japan, and by Mt. Hakusan on the fourth. This allows visitors to enjoy the best of both mountainous and sea-facing scenery. Ishikawa is especially beautiful in the Autumn, with bountiful harvests making for delectable cuisine, and spectacular scenery thanks to beautiful natural sights.
      Ms. Mandy Tay, an award-winning photographer, also shared with MCF members her experience travelling in Ishikawa. She shared some of her culinary highlights, such as incredibly fresh oysters, as well as the ample hospitality and kindness of the people of Japan.
       

    FMJ Managing Director Ms. Risa Nishimura talks about how her experience in planning exciting journeys to Ishikawa Prefecture.  
    sgCarMart Senior Automotive Journalist Desmond Chan speaks about his experiences with drive trips.
     
    Ms. Mandy Tay talks about her experience travelling in Ishikawa, and shared some of the photos taken there.  
    Head over to her Instagram account to check out more of Mandy Tay's work.  
    A specially curated guide to car rental journeys in Ishikawa has extensive information on unique attraction, beautiful scenery and ideal driving routes.    
    Guests had the chance to sample snacks from Ishikawa.  
    Lucky draw prizes include a selection of unique Japanese snacks, as well as car rental vouchers.  
    To see more photos from the event, click here.
×